Large-scale state compacts are real world

The very nature of an interstate compact makes it the ideal tool to meet the demand for cooperative state action, to develop and enforce stringent standards, and to provide an adaptive structure for states that can evolve to meet new and changing demands over time. A distinctly American invention, interstate compacts promote multistate problem solving in the face of complex public policy and federal intervention. General Purposes Interstate compacts are contracts between states that carry the force and effect of statutory law. They are a tool for state governments to address regional or national policy concerns. Compacts are not a solution per se, but they allow a state to enter into a contract with other states to perform a certain action, observe a certain standard, or cooperate in a critical policy area. The law and use of interstate compacts is not particularly complex. Like any contract, the language of a compact needs to be identical in intent and context, if not in exact verbiage, between the states. Generally speaking, interstate compacts: • Establish a formal, legal relationship among states to address common problems or promote a common agenda • Create independent, multistate governmental authorities (e.g., commissions) that can address issues more effectively than a state agency acting independently, or when no state has the authority to act unilaterally • Establish uniform guidelines, standards, or procedures for agencies in the compact’s member states • Create economies of scale to reduce administrative and other costs • Respond to national priorities in consultation or in partnership with the federal government • Retain state sovereignty in matters traditionally reserved for the states • Settle interstate disputes1 History Compacts have been enacted for a variety of reasons, though they were seldom used until the twentieth century. Between 1783 and 1920, states approved 36 compacts, most of which were used to settle boundary disputes. But in the last 75 years, more than 150 compacts have been created, most since the end of World War II. Their purposes range from implementing common laws to exchanging information about common problems. They apply to a range of subject areas from conservation and resource management to civil defense, education, emergency management, energy law enforcement, probation and parole, transportation, and taxes.2 Article I, Section 10, Clause 3 of the U.S. Constitution laid the legal foundation for interstate compacts: “No State shall, without the Consent of Congress, lay any Duty of Tonnage, keep Troops, or Ships of War in time of Peace, enter into any Agreement or Compact with another State, or with a foreign Power, or engage in War, unless actually invaded, or in such imminent Danger as will not admit of delay.” Compacts actually preceded the Constitution, having been used in colonial times to resolve boundary disputes between colonies. Most interstate compacts cover rudimentary functions, such as regulating boundaries and water rights, and have less then 15 signatories. For example, the Waterfront Commission Compact between New Jersey and New York regulates the practices in handling waterfront cargo in the Port of New York. Illinois and Missouri cooperatively planned the development of St. Louis through the Bi-State Development Agency Compact. Some compacts authorize the establishment of multistate regulatory bodies. The first and most famous of these is the New York Port Authority, which arose from a 1921 compact between New Jersey and New York. Other agreements are simply intended to establish uniform regulations without creating new agencies.3 Before the 1920s, interstate compacts were typically bi-state agreements, addressing boundary disputes and territorial claims. It is only in this century that interstate compacts have risen to such prominence and power among the states. States regularly developed and entered into interstate compacts until the late 1970s. Then, in the early 1980s, the use and formation of interstate compacts came to an utter standstill. In recent years, compacts have grown again in scope and number. Today, most are designed for regional or national participation. Examples include the Emergency Management Assistance Compact (adopted in 46 states and two territories; designed to enable cooperative emergency response efforts, such as 9/11), the Interstate Compact for Adult Offender Supervision (adopted in 48 jurisdictions since January 2000; designed to update and replace a similar 1937 compact), and the Interstate Compact for Education (adopted in 46 states; designed to serve as an information center, forum, and advocate for the states on education issues). Other recent compact developments include the Interstate Compact on Industrialized/Modular Buildings and the Interstate Insurance Receivership Compact.’